Eraring battery project contracted

Wärtsilä has been selected by Origin Energy as the preferred contractor to deliver the first phase, 460 MW and 920 MWh, of what will be one of Australia’s largest energy storage projects. The Eraring battery will be installed at Origin’s Eraring Power Station, with the option to expand the battery to 700 MW and 2800 MWh in the future.

Both companies have signed an engineered equipment delivery (EEQ) contract with a value of slightly more than 300m euros. The order is expected to be booked latest in the third quarter (Q3) of 2023 and equipment delivery is expected to occur from October 2023 to September 2024.

The battery will be connected to Australia’s National Electricity Market (NEM) and support energy security and reliability in the state of NSW.

“With significant solar and wind resources, Australia is in a unique position to rapidly decarbonise its energy sector. Flexible capacity, provided by energy storage projects like Origin’s Eraring battery or grid balancing engines, will be vital to achieving that as the share of renewables increases. The scale of this project positions Wärtsilä at the heart of that trend, delivering gigawatt-scale energy storage projects in each of our key markets around the world,” said Håkan Agnevall, President & CEO, Wärtsilä.

“Eraring is a strategic site with high-quality connection infrastructure enabling us to deliver energy into major demand centres. Development of the Eraring battery is a key next step as we look to transform the Eraring site for the future, given our intention to exit coal-fired generation by as early as August 2025. We look forward to working with Wärtsilä and key contractors to deliver the Eraring battery safely and expeditiously,” said Greg Jarvis, Head of Energy Supply and Operations at Origin Energy.

Wärtsilä’s energy storage system (ESS) is designed with the potential to switch operation into grid-forming in the future, with the capability to supply a variety of system strength and restart ancillary services. With a higher proportion of renewable energy sources on the grid, this will help deliver stability and resilience for the NEM, helping to facilitate Australia’s clean energy transition.

The project will involve Wärtsilä’s GEMS Digital Energy Platform, Storage+ Solution and GridSoly Quantum.

Image credit: Wärtsilä Corporation